The photo given below is the horizontal analysis of Apple Inc income statement for two quotas. Discuss the analysis IPIQIRISITIUIV1APPLE INC2Income statement horizontal analysis32 quarters41st quarterDecember 25, 20212nd quarterDecember 26,2020 %Inc or % Dec June 26,2021 june 27, 2020 %Inc or % Dec567 Net8sales9 Products104429956789.15%639484652937.44%10 Services195161576123.82%174861315632.91%11Total net sales12394511143911.22%814345968536.44%1213 Cost of sales14 Products64309621303.51%408993269325.10%15 Services539349818.27%5280431222.45%16 Total cost of sales69702671113.86%461793700524.79%17 Gross margin542434432822.37%352552268055.45%1819 Operating expenses20 Research and development6306516322.14%5717475820.16%21 Selling, general and adminstrative22 Total operating expenses6449563114.53%5412483112.03%127551079418.17%11129958916.06%2324 operating income25 other income (expense), net414883353423.72%241261309184.29%24324369-24745-648.89%46428.26%26 income before provision for income taxes412413357922.82%1313785.50%27 provision for income taxes6611482437.04%2625188439.33%28 net income346302875520.43%217441125393.23%2930 earnings per share31 Basic2.111.724.12%1.310.65101.54%32 Diluted2.11.6825.00%1.30.65100.00%coN

Financial analysis is the one widely used by companies to determine the company's profitability over…

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Accounting

The photo given below is the horizontal analysis of Apple Inc income statement for two quotas. Discuss the analysis

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

The photo given below is the horizontal analysis of Apple Inc income statement for two quotas. Discuss the analysis

IP
IQ
IR
IS
IT
IU
IV
1
APPLE INC
2
Income statement horizontal analysis
3
2 quarters
4
1st quarter
December 25, 2021
2nd quarter
December 26,2020 %Inc or % Dec June 26,2021 june 27, 2020 %Inc or % Dec
5
6
7 Net
8
sales
9 Products
104429
95678
9.15%
63948
46529
37.44%
10 Services
19516
15761
23.82%
17486
13156
32.91%
11
Total net sales
123945
111439
11.22%
81434
59685
36.44%
12
13 Cost of sales
14 Products
64309
62130
3.51%
40899
32693
25.10%
15 Services
5393
4981
8.27%
5280
4312
22.45%
16 Total cost of sales
69702
67111
3.86%
46179
37005
24.79%
17 Gross margin
54243
44328
22.37%
35255
22680
55.45%
18
19 Operating expenses
20 Research and development
6306
5163
22.14%
5717
4758
20.16%
21 Selling, general and adminstrative
22 Total operating expenses
6449
5631
14.53%
5412
4831
12.03%
12755
10794
18.17%
11129
9589
16.06%
23
24 operating income
25 other income (expense), net
41488
33534
23.72%
24126
13091
84.29%
243
24369
-247
45
-648.89%
46
428.26%
26 income before provision for income taxes
41241
33579
22.82%
13137
85.50%
27 provision for income taxes
6611
4824
37.04%
2625
1884
39.33%
28 net income
34630
28755
20.43%
21744
11253
93.23%
29
30 earnings per share
31 Basic
2.11
1.7
24.12%
1.31
0.65
101.54%
32 Diluted
2.1
1.68
25.00%
1.3
0.65
100.00%
coN

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